V-246 final
An example of an Enterprise fund could be?
Water and sewer fund
A ______ budget is used to control Internal Service Funds
flexible
Internal Service funds are used to account for resources used to supply goods and services, based on cost reimbursement, ______ a governmental unit.
within
What funds use the modified accrual accounting?
all governmental-type funds
Estimated bad debts are charged to an ______ account in an Enterprise Fund.
expense
Enterprise funds are used to account for resources used to supply goods and services, for a fee, to users ______ to the gov'tmental unit.
external
The second net asset in non-profit accounting is the?
temporarily restricted net asset
What do Debt Service funds account for?
the accumulation of resources for paying principal and interest on general long-term debt.
Enterprise Funds are used to account for activities that provide service or products to ________.
the general public
Capital contributed to an Internal Service Fund is credited to a _______ and that account is closed to the net assets account.
transfer-in account
The first net asset in non-profit accounting is the?
unrestricted net asset
In preparing the General Fund budget of B city for the forthcoming fiscal year, the council appropriated a sum greater than expected revenues. What will be the result of the action?
A debit to Budgetary Fund balance
What entry must be made at the beginning of the new period when encumbrance accounting is used for a construction project that continues beyond the end of an accounting period?
A debit to Encumbrances
Internal Service funds use what method of accounting?
Accrual
The accounting equation is ______ = Liabilities + Shareholder Equity.
Assets
What journal entry is made in the Capital Projects Fund when a contract is signed and encumbrance accounting is used?
Debit- Encumbrances, Credit- BFB reserved for encumbrances
Several years ago a city established a sinking fund to retire an issue of general obligation bonds. This year the city made a 50K contribution to the sinking fund from general revenues and realized 15K in revenue from securities in the sinking fund. The bonds due this year were retired. These transactions require accounting recognition in which of the following funds?
Debt Service fund and general fund
To provide for the retirement of general obligation bonds, a city invests a portion of its general revenue receipts in marketable securities. This investment activity should be accounted for in which fund?
Debt service fund
________ is recorded in an Internal Service Fund that uses fixed assets.
Depreciation
What is done with resources that remain in a Capital Projects Fund after the project is complete?
Disbursed according to the directives of the resource provider
An example of a Special Revenue Fund could be?
Emergency 911 telephone fund
Depreciation is recorded in an _______ fund.
Enterprise
Restricted assets are separately reported on an ____________.
Enterprise Fund Balance sheet
User charges must be assessed if an ________ fund is used for accounting ______.
Enterprise, purposes
Governmental type funds, Proprietary Funds, and ______ Funds.
Fiduciary
An example of a Debt Service fund could be?
General obligation bonds fund
A direct cause and effect relationship exists between the revenues and expenses of an __________ fund.
Internal Service
What are the two proprietary funds?
Internal Service, Enterprise
Why is encumbrance accounting usually used in Capital Projects Funds?
It helps the government control expenditures
Are Enterprise Funds used to account for the construction of major highways financed from tax revenues?
No
The principal amount of bonds issued to finance the cost of a new city hall would be recorded as a liability in which of the following funds?
None, it is not recorded in fund-level records
The City of New Easton constructed a convention center. After completion of the project, the convention center should be recorded as an asset in which of the following funds?
None, its not recorded in fund level records
What Other entities use the accrual basis of accounting?
Not-for-profits
The issuance of bonds to provide resources to construct a new courthouse should be recorded in a Capital Projects Fund by crediting what accounts?
Other financing sources- long-term debt issue
Which fund is used to account for the operations of a public library receiving the majority of its support from property taxes levied for that purpose?
Special Revenue Fund
A special tax was levied by DT city to retire and pay interest on general obligation bonds that were issued to finance the construction of a new city hall. Where are the receipts from the tax recorded?
The debt service fund
To what does the term current financial resources measurement focus refer?
The measurement of resources available for spending
Can Internal Service Funds have restricted net asset accounts?
Yes
What is the definition of a Capital Projects fund?
accounts for financial resources to be used for the acquisition or construction of capital facilities.
Under accrual accounting, revenues are recognized when they ______.
are earned
Fixed assets used in an Internal Service Fund are reported as ______ of that fund.
assets
Modified accrual accounting recognizes revenues when they become ______ and measurable.
available
Governmental funds include Special Revenue funds, Capital Projects funds, and _____ service funds.
debt
Internal Service Funds use the ______ basis of accounting.
full accrual
What is the accounting log book that contains a complete listing of a company's recordable transactions documented in chronological order?
general journal
What is the accounting log book that is a complete record of financial transactions over the life of a company?
general ledger
In NGO's, when are pledges recorded?
if and when the pledges are unconditional promises to give.
Under accrual accounting, expenses are recognized when assets are consumed or _______ _____.
liabilities incurred
What principle requires a company to match expenses with related revenues in order to report a company's profitability during a specified time interval?
matching
A change in ______ is calculated for Internal Service Funds.
net assets
The final net asset in non-profit accounting is the?
permanently restricted net asset
The resources used to finance Capital Projects funds may come from what sources?
private donations, general obligation debt, intergovernmental revenues
What funds are recorded like business entities?
proprietary
Internal Service Funds are used to account for activities that provide _______ or products to a unit within the government.
services